Is Consolidated Water (CWCO) stock Halal?

Consolidated Water is a utility company specializing in the development and operation of seawater desalination plants. The company's primary function is to provide potable water to nations and territories where freshwater resources are scarce. It operates primarily in the Caribbean and parts of the Americas, specifically within tourist-driven island economies where water supply is paramount for sustaining both the local population and the tourism sector. For Muslim investors, though, the most pressing question is simpler: is Consolidated Water a Halal investment?

Is Consolidated Water Shariah compliant?

Finance is the sector where Shariah screening does the most work, because Riba is not incidental here, it can be the product itself. Consolidated Water passes the business activity screen only if its revenue comes from permissible services rather than lending at interest, and the financial screens of AAOIFI Shariah Standard No. 21 still apply in full.

Does Consolidated Water pass the business activity test?

Yes. In the September 2026 screening Consolidated Water holds an overall PASS, which a stock only earns when its core business clears the activity screen. The watch item in this sector is the sharpest of all: revenue must come from permissible services, not from lending at interest.

Is Consolidated Water's income Halal?

Yes, within AAOIFI's tolerance. Consolidated Water's income from non-permissible sources stays below 5% of revenue in the September 2026 screening, and the small impure portion is handled through purification: the factor of 98.08% tells holders of CWCO what share of each dividend to keep and what remainder to donate to charity.

Does Consolidated Water meet AAOIFI's debt and investment ratio requirements?

Yes. Both caps hold this month: interest bearing investments and interest bearing debt each stay below 30% of market capitalisation. Because the caps move with the share price, our Shariah Supervisory Board has CWCO re-screened every month, and the result above always shows the latest verdict.

Tabadulat is an ADGM regulated brokerage whose license covers Shari'a Compliant Regulated Activities, as the FSRA permission names them. New to the terminology? Gharar and Maysir, Sukuk, Zakat and purification are all explained in plain English.

New to the four screens? Read What is Riba? A Clear Guide for Ethical Muslim Investing